The Committee of European Banking Supervisors released its final guidelines on Article 122a of the European Union (EU) Capital Requirements Directive on December 31, 2010. Article 122a restricts the ability of EU-regulated credit institutions to take credit exposure to securitizations that do not respect the mandated risk retention requirements, which essentially require that the originator, sponsor, or original lender retain 5 percent of the economic risk of the securitization. Article 122a takes a largely "one-size-fits-all" approach to imposing risk retention requirements across various types of securitizations, including CLOs. Given that CLOs do not fit squarely with other securitizations, however, there are various concerns about how they will be able to satisfy the newly mandated requirements. Fortunately, CLOs existing before January 1, 2011 are "grandfathered in," meaning that the risk retention rules will not apply to them so long as they do not purchase or substitute assets after December 31, 2014. The new restrictions will potentially have a chilling effect on new CLO creation, however, given that until a satisfactory method of meeting the risk retention requirements is generally accepted, such new CLOs cannot be marketed to EU credit institutions or their consolidated group entities. New CLOs should keep these restrictions in mind and consider whether to include limited marketability in the EU among the risk factors listed in their offering materials.